Yes, you are missing a very big something. It is called cost amortisation, and it is done by every company. Amortisation means splitting fixed costs across the entire base.
In North America, Navigon costs $30 to $50. In NZ, on the other hand, Navigon costs $70 USD for maps which are significantly smaller than even your regional maps. This is because NZ's available market is much smaller, so there are very few customers to amortise the fixed costs across. In this case, the fixed costs are the licensing fees which the map software app provider must pay to the map creators for each independent copy of the maps. What usually happens is the navigation app manufacturer pays a quarterly or annual fee that has a multi-thousand (probably in the $50'000 to $100'000 range) which permits the individual copy price to be around $5. The higher the licensing fee, the lower the individual map fee. Upgrades, of course, will be either included in the annual license, or will be extremely low. Sendero, on the other hand, can only expect a tiny user base, so the amortisation of annual licensing fees will be significantly more expensive. Considering licensing fees I have seen for OCR software, I wouldn't be surprised if the amortised cost per user for the license is $50 annually. I also wouldn't be surprised if the individual map fee is over $100 per at that low annual licensing fee. It is all about economies of scale and size of customer base. Internet maps, on the other hand, have very low licensing fees, so Sendero's price covers their development costs for the app, including Seeing Eye's contributions, Apple's 30% fees, future development projection costs, and profit margins. David Chittenden, MSc, MRCAA Email: dchitten...@gmail.com Mobile: +64 21 2288 288 Sent from my iPhone On 28/02/2013, at 15:41, Christopher Chaltain <chalt...@gmail.com> wrote: > Unless I'm missing something, the last time I checked, NaviGon was under > $50 for maps that covered some subset of North America. I don't think it > would cost you a couple of hundred dollars unless you got maps for a > large part of the world. > > On 27/02/13 20:34, David Chittenden wrote: >> I am willing to bet that online maps are significantly less expensive. >> Consider that apps with built-in maps are about 100 or more times the cost, >> and that is with amortisation across a very large market. Unless people are >> willing to spend several hundred to a thousand dollars for the app, you are >> stuck with online maps. >> >> David Chittenden, MSc, MRCAA >> Email: dchitten...@gmail.com >> Mobile: +64 21 2288 288 >> Sent from my iPhone >> >> On 28/02/2013, at 15:10, Sieghard Weitzel <siegh...@live.ca> wrote: >> >>> Hi Grant, >>> >>> Definitely good points, I do have an unlocked phone, but when I was on Maui >>> last April for 2 weeks I didn't bother to get a local SIM. AT&T is the best >>> option there as far as coverage and they basically told me I could not have >>> a prepaid SIM with data. When I went to Las Vegas last November I ended up >>> getting a SIM from T-Mobile, I believe it cost me about $45, they charged me >>> $30 for the SIM and $11 to put some money on it. On Maui my friend and I >>> used Navigon all the time because she has a pretty bad sense of direction >>> and since we used it exclusively in the car it worked beautifully, it was >>> always accurate and of course I had downloaded the maps for Hawaii before >>> leaving so it was no problem. I completely agree that the option to download >>> maps to the phone would be ideal. But as I also said, it's their first >>> version and as long as the updates keep on coming and we see user feedback >>> incorporated in these updates I have no problem at all to be patient and >>> give them a chance to improve the app. >>> >>> >>> Regards, >>> Sieghard >>> >>> -----Original Message----- >>> From: viphone@googlegroups.com [mailto:viphone@googlegroups.com] On Behalf >>> Of Grant Hardy >>> Sent: Wednesday, February 27, 2013 3:11 PM >>> To: viphone@googlegroups.com >>> Subject: Re: Announcing the Seeing Eye GPS app free preview, new 2013 >>> Sendero products, and remote CSUN access! >>> >>> Hi Sieghard, >>> >>> Like you, I'm not too concerned about GPS apps chewing through huge amounts >>> of data. The bigger concern for me is reliability. Cellular data isn't >>> always perfect and it seems clear that you are more likely to get a smooth >>> experience if map data is stored locally rather than in the cloud. Also, for >>> people who don't have unlocked phones it will mean that they probably will >>> not want to use a GPS app that accesses data while roaming. Therefore, I do >>> hope Sendero will consider storing at least some data locally in a future >>> update. >>> >>> Grant >>> >>> On 2/27/13, Sieghard Weitzel <siegh...@live.ca> wrote: >>>> Hi Bob, >>>> >>>> Sendero LookAround uses data to look up map information and somehow I >>>> doubt they would put the maps on the phone, but I guess we'll see. >>>> Keep in mind that your GPS application accessing map data will not use >>>> up huge amounts of data. I am also in Canada and while I am now on a 2 >>>> Gig plan I used to be on a flex plan and I have a hard time using even >>>> 1 Gig of data a month, of course I am not streaming music all day long >>>> through my phone, but I am also not particularly careful, I download >>>> apps via 3G, make VoIP calls via 3G and even download or stream the >>>> occasional podcast. >>>> >>>> >>>> Regards, >>>> Sieghard >>>> >>>> >>>> -----Original Message----- >>>> From: viphone@googlegroups.com [mailto:viphone@googlegroups.com] On >>>> Behalf Of Robert Fenton >>>> Sent: Wednesday, February 27, 2013 7:36 AM >>>> To: viphone@googlegroups.com >>>> Subject: Re: Announcing the Seeing Eye GPS app free preview, new 2013 >>>> Sendero products, and remote CSUN access! >>>> >>>> Hello. >>>> >>>> The reason I asked about price earlier was simply to know how much I >>>> would be paying to obtain the product. There is little question that I >>>> will be purchasing it. The only factors that might convince me >>>> otherwise is if Canadian maps are not available or if maps are only >>>> available via data plan. >>>> The latter factor would substantially increase my bottom line cost for >>>> using the app since at the time of purchasing my cell phone contract, >>>> no unlimited data plans were available in the jurisdiction where I >>>> live. >>>> >>>> So, my initial question about price was a relatively simple one. I had >>>> no idea the discussion would take the philosophical turns it has. >>>> Sorry if that has bothered anybody. J >>>> >>>> Bob Fenton >>>> >>>> Sent from my iPhone >>>> >>>> On 2013-02-27, at 8:15 AM, Christopher Chaltain <chalt...@gmail.com> >>> wrote: >>>> >>>>> It's also worth bearing in mind that regardless of the price, unless >>>>> of course it's free, there will be some people who think it's too much. >>>>> This is understandable since the blind span the economic spectrum. >>>>> It's also human nature and not specific to the blind. >>>>> >>>>> There are also those who will label it as a blind ghetto product and >>>>> avoid it at all costs with the belief that main stream products >>>>> should be made more accessible rather than investing in applications >>>>> specific for the blind. I respect those who share this opinion, but >>>>> I'm more pragmatic than religious on this point, i.e. I'll use >>>>> whatever I need to to get the job done. I think my independence and >>>>> ability to compete with my sighted peers does more to promote the >>>>> independence of the blind than it does for me to avoid a product >>>>> developed with the blind in >>>> mind. >>>>> Again, this is just my opinion, and I definitely respect those with a >>>>> contrary opinion. >>>>> >>>>> Finally, I can only speak for myself, but I'm not really too >>>>> interested in what others think about whether a price is fair or not. >>>>> As Raul says, this is a decision I'm going to make myself anyway. >>>>> >>>>> On 27/02/13 08:11, Neil Barnfather - TalkNav wrote: >>>>>> One other nugget of thought to bear in mind, whatever is charged, >>>>>> Apple will be nabbing 30% of that, so just bear that in mind when >>>>>> the criticisms begin to flow. >>>>>> >>>>>> >>>>>> >>>>>> Regards, >>>>>> >>>>>> Neil Barnfather >>>>>> >>>>>> Talks List Administrator >>>>>> Twitter @neilbarnfather >>>>>> >>>>>> TalkNav is a Nuance, Code Factory and Sendero dealer, as well as an >>>>>> Apple iOS, Macintosh and Android accessibility specialist. For all >>>>>> your accessible phone, PDA and GPS related enquiries visit >>>>>> www.talknav.com <http://www.talknav.com> >>>>>> >>>>>> URL: - www.talknav.com <http://www.talknav.com> >>>>>> e-mail: - serv...@talknav.com <mailto:serv...@talknav.com> >>>>>> Phone: - +44 844 999 4199 >>>>>> >>>>>> On 27 Feb 2013, at 06:49, Charles Dean <chuckd...@icloud.com >>>>>> <mailto:chuckd...@icloud.com>> wrote: >>>>>> >>>>>>> Years ago I bought the human ware Trekker which cost over twelve >>>>>>> hundred dollars. Considering the freedom it gave me, I still think >>>>>>> it was worth every penny. >>>>>>> >>>>>>> Unfortunately, so many apps are so inexpensive that when one >>>>>>> appears with a higher prize tag, many of us get a little sticker shock. >>>>>>> >>>>>>> If this app proves to be as good as I hope, I will buy it no matter >>>>>>> what the costs. >>>>>>> >>>>>>> Chuck (mobile) >>>>>>> Pleez x cuze any tie ping or spelin airors. >>>>>>> >>>>>>> On Feb 26, 2013, at 11:36 PM, "Raul A. Gallegos" >>>>>>> <r...@raulgallegos.com <mailto:r...@raulgallegos.com>> wrote: >>>>>>> >>>>>>>> The one thing to keep in mind once the price is announced is how >>>>>>>> much is this app worth to some of us. Remember that specific >>>>>>>> installs for the braille note and braille cents products cost more >>>>>>>> than $600. Also remember that many commercial GPS apps for the >>>>>>>> iPhone itself can cost anywhere from $25-$55. I have no idea what >>>>>>>> the price for this app will be, however I do know that once that >>>>>>>> price is announced if people don't like it there will definitely >>>>>>>> be a lot of vocalization from peoples opinions. I only say this >>>>>>>> because any time and accessibility app is announced in that price >>>>>>>> is more than five dollars, people seem to make a big deal over it. >>>>>>>> I can look through the archives and discussions of the access >>>>>>>> notetaker app, blindsquare, Fleksy, Sendero's Look Around app, and >>>>>>>> the various daisy readers Have mostly initially been met with >>>>>>>> criticism >>>> over the price. >>>>>>>> Some people will purchase the app despite the cost because they >>>>>>>> want to support the developer. Others will purchase the app >>>>>>>> because it is worth it to them. And still others might wait for >>>>>>>> the app to go on sale before they make a purchase. My purchasing >>>>>>>> history shows that depending on the app in question I could fall >>>>>>>> into any of those categories. Fleksy and blindsquare were apps >>>>>>>> which I purchased only after they went on sale. Yet voice dream >>>>>>>> reader and looktel recognizer were apps I purchased at full price. >>>>>>>> And finally, apps light digit-eyes and read2go our ones which I >>>>>>>> have not purchased and don't intend to. So my only point in >>>>>>>> writing this message is to remind everyone, including myself, that >>>>>>>> no matter what the price of a new app is, we will have to decide >>>>>>>> for ourselves if it is really worth it to us considering our >>>>>>>> personal needs and the features contained in the app. >>>>>>>> >>>>>>>> Cheers! >>>>>>>> >>>>>>>> On Feb 26, 2013, at 11:04 PM, Sieghard Weitzel <siegh...@live.ca >>>>>>>> <mailto:siegh...@live.ca>> wrote: >>>>>>>> >>>>>>>>> Hi List, >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> This does indeed sound very promising and I especially think one >>>>>>>>> of the best news about this is that they use both Navteq and OSM >>>>>>>>> maps as well as POI's from Navteq, Foursquare and OSM. This >>>>>>>>> should really provide very good and up-to-date map and POI >>> information. >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> Maybe we can all have a few less apps on the phone since this one >>>>>>>>> will most likely make some others redundant. >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> I also would imagine that since Seeing-Eye is involved in funding >>>>>>>>> the project that the price for the app maybe more reasonable than >>>>>>>>> we all may think. >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> Best regards, >>>>>>>>> >>>>>>>>> Sieghard >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> *From:*viphone@googlegroups.com <mailto:viphone@googlegroups.com> >>>>>>>>> [mailto:viphone@googlegroups.com] *On Behalf Of *Richard Turner >>>>>>>>> *Sent:* Tuesday, February 26, 2013 2:02 PM >>>>>>>>> *To:* ViPone list >>>>>>>>> *Subject:* Fwd: Announcing the Seeing Eye GPS app free preview, >>>>>>>>> new >>>>>>>>> 2013 Sendero products, and remote CSUN access! >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> I wasn't sure if this had been seen on this list: >>>>>>>>> >>>>>>>>> *From:*senderogps-bou...@freelists.org >>>>>>>>> <mailto:senderogps-bou...@freelists.org> >>>>>>>>> [mailto:senderogps-bou...@freelists.org] *On Behalf Of *Kim Casey >>>>>>>>> *Sent:* Monday, February 25, 2013 4:07 PM >>>>>>>>> *To:* 'Kim Casey' >>>>>>>>> *Subject:* Announcing the Seeing Eye GPS app free preview, new >>>>>>>>> 2013 Sendero products, and remote CSUN access! >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> Sendero Group has been designing accessible GPS since 1994. >>>>>>>>> Almost 20 years of user feedback and feature requests are behind >>>>>>>>> the design of all Sendero GPS products. The accessible features >>>>>>>>> in Seeing Eye GPS are only the beginning of what is yet to come >>>>>>>>> as users help in evolving this first fully accessible GPS >>>>>>>>> product for the iPhone. To participate in the preview, visit us >>>>>>>>> at CSUN Booth 521 or reply to this email and we will send you a >>>>>>>>> link for a Test Flight as soon as it is available. >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> About Seeing Eye GPS >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> Getting around independently is a function of good mobility >>>>>>>>> tools like a guide dog or cane and good orientation tools like >>>>>>>>> accessible GPS. Two pioneers in their fields, The Seeing Eye and >>>>>>>>> Sendero Group have teamed up to provide a fully accessible >>>>>>>>> turn-by-turn GPS iPhone app with all the normal navigation >>>>>>>>> features plus features unique to blind users. >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> * Instead of multiple layers of menus, the 3 important >>>>>>>>> navigation elements are on the lower portion of every screen, >>>>>>>>> Route, POIs and Location. >>>>>>>>> >>>>>>>>> * At intersections, the street name and your direction of travel >>>>>>>>> are announced. >>>>>>>>> >>>>>>>>> * Intersections are described like 4-way with the clock face >>>>>>>>> orientation of the streets. >>>>>>>>> >>>>>>>>> * There are 3 choices for POI data and 2 map sources. >>>>>>>>> >>>>>>>>> * Directions are configured appropriately for Pedestrian and >>>>>>>>> vehicle routes including heads up when approaching a turn, the >>>>>>>>> turn now indication, continue straight and where the subsequent >>>>>>>>> turn is located. >>>>>>>>> >>>>>>>>> * When the user wanders off the route, it is automatically >>>>>>>>> recalculated and updated turn information is announced. >>>>>>>>> >>>>>>>>> * Point your phone in a given direction to hear what is nearby >>>>>>>>> with the LookAround Wand. >>>>>>>>> >>>>>>>>> * Nearby Points of interest and intersections are automatically >>>>>>>>> announced. >>>>>>>>> >>>>>>>>> For more information go to >>>>>>>>> http://www.senderogroup.com/products/shopseeingeyegps.htm >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> New 2013 Sendero products >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> Announcing Sendero PC GPS 2013, adds GPS functionality to >>>>>>>>> Sendero PC Maps and works on Windows laptops, Tablets, and >>>>>>>>> ultrabooks. >>>>>>>>> >>>>>>>>> New 2013 maps and POIs for Sendero GPS, Sense Navigation, and >>>>>>>>> Mobile Geo plus much faster POI searches >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> Not going to CSUN - No problem! >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> Thanks to the folks at Accessible World Tek Talk, you can join >>>>>>>>> in the fun and listen into the following presentations. >>>>>>>>> >>>>>>>>> February 28, Thursday, 9:30 - 10:30 PM, Testing a Prototype >>>>>>>>> iPhone People Finder App >>>>>>>>> >>>>>>>>> March 1, Friday, 2:00 - 3:00 PM, Showing the Seeing Eye GPS >>>>>>>>> iPhone App >>>>>>>>> >>>>>>>>> Just go to: >>>>>>>>> http://conference321.com/masteradmin/room.asp?id=rsc9613dc89eb2 >>>>>>>>> at the scheduled session time. If you are a first-time user of >>>>>>>>> the Talking Communities online conferencing software, there is a >>>>>>>>> small, safe software program that you need to download and then >>>>>>>>> run. Visit http://accessibleworld.org/audio-tc-faq-page for >>>>>>>>> information on howto get your computer set up for the session. >>>>>>>>> >>>>>>>>> >>>>>>>>> >>>>>>>>> For more information on all of these items, go to >>>>>>>>> http://www.SenderoGroup.com <http://www.senderogroup.com/> or >>>>>>>>> call Sendero toll free at 1-888-757-6810 >>>>>>>>> >>>>>>>>> Don't forget to sign up for our SenderoGPS Twitter account to >>>>>>>>> hear play-by-play comments as the new iPhone app is rolled out! >>>>>>>>> >>>>>>>>> -- >>>>>>>>> You received this message because you are subscribed to the >>>>>>>>> "VIPhone" Google G -- You received this message because you are subscribed to the "VIPhone" Google Group. 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